Ichimoku Analysis (Weekly Chart)
Tenken-Sen- $1481.68
Kijun-Sen- $1469
Gold has broken major trend line resistance $1483 and jumped more than $20 in thin trading due to festive mood. The yellow metal is trading higher for the 5th consecutive week and surged nearly $50. The easing US-China trade tension is putting pressure on Gold at higher levels. It is currently trading around $1499.50
The jump in US 10- year bond yield for more than 35% in the past 4 months and hits high of 1.972%. The spread between US 10 and 2- year bond yield has widened from 5 bps to 28 bps.
The pair is facing resistance at $1500 and break beyond with heavy volumes confirms trend continuation, a jump till $1515/$1525/$1555 is possible.
On the flip side, nearby significant support is around $1449-56 and violation underneath will drag the gold down to $1426/$1414 (200- day MA).
It is good to buy on dips around $1490 with SL $1478 for the TP of $1555
